Embraer Firms Sale of Three Embraer 170/190 Family Jets to TAME
(Source: Embraer; issued Apr. 18, 2005)
SรO JOSร DOS CAMPOS, Brazil — Embraer announced today it firmed the sale of three EMBRAER 170/190 family aircraft to TAME Lรญnea Aรฉrea del Ecuador, the staterun Ecuadorian airline. The customer will acquire two 76-seat EMBRAER 170 jets and one 104-seat EMBRAER 190, with deliveries to take place in 2005 and 2006.
The announcement confirms a Letter of Intent (LOI) disclosed in November 2004 in Quito. Under the contract signed today, TAME holds four options on aircraft of the same jet family.
The airline formed by this merger would give SouthWest an equal in the low-cost market.
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The airline formed by this merger would give SouthWest an equal in the low-cost market.
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launch with cargo-only operators
Would that be a first? :confused:
launch with cargo-only operators
Would that be a first? :confused:
Friday, April 15, 2005
Air India to decide soon on buying 50 planes
BLOOMBERG NEWS
Air India Ltd. will decide on buying 50 new planes in two to three weeks, Ajay Prasad, India’s civil aviation secretary, said in New Delhi yesterday.
U.S. Transportation Secretary Norman Mineta reiterated his government’s expectation that India would give “fair consideration to the offer tendered by Boeing.”
The officials spoke in New Delhi at the signing of an air services accord between the two countries.
Indian carriers are buying and leasing planes to fly to more cities as economic expansion stokes business and leisure demand.
State-run Air India, based in Mumbai, formerly Bombay, needs new planes as it faces competition from Jet Airways (India) Ltd. and Sahara Airlines Ltd., which will start flights to the United States and Europe this year.
Both The Boeing Co. and Airbus “will get an equal chance,” Prasad said. The decision “will be based on the financial and technical offers they make. Ultimately, we will buy what’s best suited for us and the cheapest.”
Boeing said it expects Air India, Jet Airways and other Indian carriers to order planes worth as much as $10 billion in the “near term,” as economic expansion stokes more travel in Asia’s fourth-biggest economy.
Boeing expects to win a major share of that market, said Dinesh Keskar, senior vice president in charge of sales. Keskar said the company expects India to buy planes worth as much as $35 billion in the next 20 years.
Friday, April 15, 2005
Air India to decide soon on buying 50 planes
BLOOMBERG NEWS
Air India Ltd. will decide on buying 50 new planes in two to three weeks, Ajay Prasad, India’s civil aviation secretary, said in New Delhi yesterday.
U.S. Transportation Secretary Norman Mineta reiterated his government’s expectation that India would give “fair consideration to the offer tendered by Boeing.”
The officials spoke in New Delhi at the signing of an air services accord between the two countries.
Indian carriers are buying and leasing planes to fly to more cities as economic expansion stokes business and leisure demand.
State-run Air India, based in Mumbai, formerly Bombay, needs new planes as it faces competition from Jet Airways (India) Ltd. and Sahara Airlines Ltd., which will start flights to the United States and Europe this year.
Both The Boeing Co. and Airbus “will get an equal chance,” Prasad said. The decision “will be based on the financial and technical offers they make. Ultimately, we will buy what’s best suited for us and the cheapest.”
Boeing said it expects Air India, Jet Airways and other Indian carriers to order planes worth as much as $10 billion in the “near term,” as economic expansion stokes more travel in Asia’s fourth-biggest economy.
Boeing expects to win a major share of that market, said Dinesh Keskar, senior vice president in charge of sales. Keskar said the company expects India to buy planes worth as much as $35 billion in the next 20 years.
…[related]…
EDITORIAL: Don’t just buy aircraft, make them here
The Air-India board wants to buy 50 commercial aircraft worth $6 billion, from Boeing Corp. Naysayers have been quick to impute motives to the transaction, pointing out that the only beneficiary would be the Seattle-based aircraft manufacturer; a few have said that the deal is driven by politics, not commercial sense; others have suggested that it makes no sense to buy so many planes from one seller. In fact, this deal could boost India’s strategic relationship with the US and New Delhi is engaged in a geopolitical balancing act, soothing US nerves at losing Indian Airlines’ $2.5 billion order to Europe’s Airbus.
The order is large, but that’s because A-I hasn’t bought planes for many years. Now, our aviation sector needs to grow very fast. For example, the number of India-China flights is scheduled to rise six times soon, from seven to 42 flights a week. So, the right question to ask is: In return for such a large order, is there anything we can get out of the US? There is. India could, for instance, ask Boeing to shift part of its manufacturing operations to India, which could become a low-cost aircraft manufacturing support centre for the US giant. This is a win-win situation: Boeing gets a huge topline lift from the order. Over time, its bottom line is boosted by cost cuts from manufacturing in India rather than in Seattle.
While buying military hardware, India insists on co-production. Bangalore-based Hindustan Aeronautics Limited (HAL) has emerged as a competent manufacturer of military aircraft. It also makes accessories and components for Airbus. Indian companies have secured deals to make software for Boeing. Boeing already has manufacturing, services and software operations in a few places like Australia and Canada. Neither country has India’s cost advantages. Therefore, Boeing could be asked to demonstrate its commitment to the Indian aviation market, from simple procurement to outsourcing. In any case, commercial plane manufacturing is an assembly job, putting together a vast number of complex components that ultimately turn into an aircraft. Boeing should take a cue from another Seattle-based global giant. Microsoft set up its first overseas development centre in Hyderabad some years ago, and has not regretted its decision. The conditions are right for another major Indo-American partnership to take wing.
…[related]…
EDITORIAL: Don’t just buy aircraft, make them here
The Air-India board wants to buy 50 commercial aircraft worth $6 billion, from Boeing Corp. Naysayers have been quick to impute motives to the transaction, pointing out that the only beneficiary would be the Seattle-based aircraft manufacturer; a few have said that the deal is driven by politics, not commercial sense; others have suggested that it makes no sense to buy so many planes from one seller. In fact, this deal could boost India’s strategic relationship with the US and New Delhi is engaged in a geopolitical balancing act, soothing US nerves at losing Indian Airlines’ $2.5 billion order to Europe’s Airbus.
The order is large, but that’s because A-I hasn’t bought planes for many years. Now, our aviation sector needs to grow very fast. For example, the number of India-China flights is scheduled to rise six times soon, from seven to 42 flights a week. So, the right question to ask is: In return for such a large order, is there anything we can get out of the US? There is. India could, for instance, ask Boeing to shift part of its manufacturing operations to India, which could become a low-cost aircraft manufacturing support centre for the US giant. This is a win-win situation: Boeing gets a huge topline lift from the order. Over time, its bottom line is boosted by cost cuts from manufacturing in India rather than in Seattle.
While buying military hardware, India insists on co-production. Bangalore-based Hindustan Aeronautics Limited (HAL) has emerged as a competent manufacturer of military aircraft. It also makes accessories and components for Airbus. Indian companies have secured deals to make software for Boeing. Boeing already has manufacturing, services and software operations in a few places like Australia and Canada. Neither country has India’s cost advantages. Therefore, Boeing could be asked to demonstrate its commitment to the Indian aviation market, from simple procurement to outsourcing. In any case, commercial plane manufacturing is an assembly job, putting together a vast number of complex components that ultimately turn into an aircraft. Boeing should take a cue from another Seattle-based global giant. Microsoft set up its first overseas development centre in Hyderabad some years ago, and has not regretted its decision. The conditions are right for another major Indo-American partnership to take wing.
…[update]…
It’s schmooze or lose in air wars
Supersalesman John Leahy helped lead Airbus past a complacent Boeing, but that great success has rejuvenated his U.S. rival
By Michael Oneal, Tribune staff reporter.
Tribune reporter David Greising contributed to this story
Published April 13, 2005
subscriber link
John Leahy, the longtime sales chief of Airbus SAS, was gliding through Los Angeles in a limousine, on the way to a morning sales call, when his cell phone rang with an urgent call from Manila.
Leahy flipped open his phone and said a curt hello. Then he nodded as one of his lieutenants passed along some key intelligence.
The Airbus sales team in Asia had gleaned from its web of contacts that Yang Ho Cho, the chairman of Korean Air, had scheduled a lunch that day in Los Angeles with Leahy’s archrival, Alan Mulally, the chief executive of Boeing Commercial Airplanes.
Cho’s organization was deep in the throes of making a multibillion-dollar decision to purchase either Boeing’s new 787 Dreamliner or the Airbus A350. And Leahy wanted to seize the opportunity to outmaneuver Boeing.
“Do you know what time he’s meeting Mulally?’ Leahy asked.
In the $50 billion business of selling passenger jets, outflanking your rival often can spell the difference between winning or losing orders big enough to swing the balance of global trade. For two decades, nobody has done that better than Airbus’ indefatigable, silver-tongued salesman.
On this particular day, however, Leahy learned that Boeing had the upper hand. When he sat down with Cho over tea in the coffee shop of the Wilshire Grand Hotel, Cho told him that his technical team was leaning toward Boeing. The problem: Airbus engineers had failed to spend as much time as the Boeing team explaining why theirs was a better airplane.
“I guess we screwed up,” Leahy concluded.
What Leahy is discovering is that in the high-stakes game of selling airplanes, it may be easier to be the pursuer than the pursued. When it swept past Boeing to become the world’s largest jetmaker two years ago, Airbus roused the long-slumbering giant. And now the chase is on.
On Monday, five weeks after Leahy met with Cho, Korean Air announced it had ordered 10 Boeing 787s, while taking options on 10 more, partly because Boeing agreed to buy parts for the plane from the Koreans, souces say.
Northwest Airlines is also within days of buying 787s to update its aging fleet. Boeing and Northwest won’t comment, but sources say a key part of the deal may be upfront financing from Boeing.
The two orders give Boeing’s new program a major leg up in a battle that it had been losing badly for the past several years.
“Objectively, they’ve got the high ground right now,” Leahy said on Tuesday. “I wanted Korean and Northwest.”
๐
…[update]…
It’s schmooze or lose in air wars
Supersalesman John Leahy helped lead Airbus past a complacent Boeing, but that great success has rejuvenated his U.S. rival
By Michael Oneal, Tribune staff reporter.
Tribune reporter David Greising contributed to this story
Published April 13, 2005
subscriber link
John Leahy, the longtime sales chief of Airbus SAS, was gliding through Los Angeles in a limousine, on the way to a morning sales call, when his cell phone rang with an urgent call from Manila.
Leahy flipped open his phone and said a curt hello. Then he nodded as one of his lieutenants passed along some key intelligence.
The Airbus sales team in Asia had gleaned from its web of contacts that Yang Ho Cho, the chairman of Korean Air, had scheduled a lunch that day in Los Angeles with Leahy’s archrival, Alan Mulally, the chief executive of Boeing Commercial Airplanes.
Cho’s organization was deep in the throes of making a multibillion-dollar decision to purchase either Boeing’s new 787 Dreamliner or the Airbus A350. And Leahy wanted to seize the opportunity to outmaneuver Boeing.
“Do you know what time he’s meeting Mulally?’ Leahy asked.
In the $50 billion business of selling passenger jets, outflanking your rival often can spell the difference between winning or losing orders big enough to swing the balance of global trade. For two decades, nobody has done that better than Airbus’ indefatigable, silver-tongued salesman.
On this particular day, however, Leahy learned that Boeing had the upper hand. When he sat down with Cho over tea in the coffee shop of the Wilshire Grand Hotel, Cho told him that his technical team was leaning toward Boeing. The problem: Airbus engineers had failed to spend as much time as the Boeing team explaining why theirs was a better airplane.
“I guess we screwed up,” Leahy concluded.
What Leahy is discovering is that in the high-stakes game of selling airplanes, it may be easier to be the pursuer than the pursued. When it swept past Boeing to become the world’s largest jetmaker two years ago, Airbus roused the long-slumbering giant. And now the chase is on.
On Monday, five weeks after Leahy met with Cho, Korean Air announced it had ordered 10 Boeing 787s, while taking options on 10 more, partly because Boeing agreed to buy parts for the plane from the Koreans, souces say.
Northwest Airlines is also within days of buying 787s to update its aging fleet. Boeing and Northwest won’t comment, but sources say a key part of the deal may be upfront financing from Boeing.
The two orders give Boeing’s new program a major leg up in a battle that it had been losing badly for the past several years.
“Objectively, they’ve got the high ground right now,” Leahy said on Tuesday. “I wanted Korean and Northwest.”
๐
On a side note…
New Boeing Plane Could Harm Paris Orly Airport
April 11, 2005 3:12:00 PM ET
LINK
PARIS (Reuters) – Boeing Co.’s (BA) B777-300ER airplane could damage the runways of Paris’s Orly airport by exerting too much pressure, especially at take-off, Paris airports operator Aeroports de Paris (ADP) said on Monday.
Air France KLM has ordered seven such planes — an investment of more than 1 billion euros ($1.28 billion) — to replace its Boeing 747 planes and fly from Orly to France’s overseas territories in the summer of 2007, La Tribune newspaper reported.
ADP said the B777-300ER, a new version of the Boeing 777, was lighter than the Boeing 747 or EADS’s upcoming Airbus A380 jumbo jet, but its mass was centered on 12 wheels compared with 22 for the Airbus A380.
Such concentrated pressure could ruin the runways, ADP said.
ADP said it had begun discussions with Air France to find a solution.
The cost of strengthening the runways could be high and the work lengthy, La Tribune said. For Air France, switching overseas territories flights to Paris’s Roissy airport could cannibalize some future expected capacity, La Tribune said.
…I wonder if the solution will possibly include 777-300 order conversions to 747ADV?
๐
On a side note…
New Boeing Plane Could Harm Paris Orly Airport
April 11, 2005 3:12:00 PM ET
LINK
PARIS (Reuters) – Boeing Co.’s (BA) B777-300ER airplane could damage the runways of Paris’s Orly airport by exerting too much pressure, especially at take-off, Paris airports operator Aeroports de Paris (ADP) said on Monday.
Air France KLM has ordered seven such planes — an investment of more than 1 billion euros ($1.28 billion) — to replace its Boeing 747 planes and fly from Orly to France’s overseas territories in the summer of 2007, La Tribune newspaper reported.
ADP said the B777-300ER, a new version of the Boeing 777, was lighter than the Boeing 747 or EADS’s upcoming Airbus A380 jumbo jet, but its mass was centered on 12 wheels compared with 22 for the Airbus A380.
Such concentrated pressure could ruin the runways, ADP said.
ADP said it had begun discussions with Air France to find a solution.
The cost of strengthening the runways could be high and the work lengthy, La Tribune said. For Air France, switching overseas territories flights to Paris’s Roissy airport could cannibalize some future expected capacity, La Tribune said.
…I wonder if the solution will possibly include 777-300 order conversions to 747ADV?
๐
Air India declines comment on Boeing order
Air India Ltd, the nation’s biggest overseas carrier, declined to comment on a report that it would buy $6 billion of planes from Boeing Co, the world’s second-biggest commercial aircraft maker.
Air India may buy 50 Boeing planes, with different seating capacity from 250 to 350 passengers, the Times of India reported on Monday, without saying where it got the information.
The 50-plane order would help Boeing catch up with Airbus SAS in India, after three airlines in the world’s second-most populous nation in 2004 picked 103 Airbus planes, including options. Spice Jet, Air India’s low-cost subsidiary and discount carrier, picked Boeing’s models.
“I don’t want to comment on the report,” Jitender Bhargava, spokesman of Mumbai-based Air India said in a phone interview. V. Thulasidas, Chairman and Managing Director of the airline, didn’t return calls seeking comment.
Dinesh Keskar, senior vice president in charge of sales at Boeing, didn’t return phone calls seeking comment. Keskar is scheduled to hold a press conference in Mumbai on Monday and in New Delhi on Tuesday about Boeing’s aircraft, including models like the 777 and 787 — planes being considered by Air India for purchase.
Air India declines comment on Boeing order
Air India Ltd, the nation’s biggest overseas carrier, declined to comment on a report that it would buy $6 billion of planes from Boeing Co, the world’s second-biggest commercial aircraft maker.
Air India may buy 50 Boeing planes, with different seating capacity from 250 to 350 passengers, the Times of India reported on Monday, without saying where it got the information.
The 50-plane order would help Boeing catch up with Airbus SAS in India, after three airlines in the world’s second-most populous nation in 2004 picked 103 Airbus planes, including options. Spice Jet, Air India’s low-cost subsidiary and discount carrier, picked Boeing’s models.
“I don’t want to comment on the report,” Jitender Bhargava, spokesman of Mumbai-based Air India said in a phone interview. V. Thulasidas, Chairman and Managing Director of the airline, didn’t return calls seeking comment.
Dinesh Keskar, senior vice president in charge of sales at Boeing, didn’t return phone calls seeking comment. Keskar is scheduled to hold a press conference in Mumbai on Monday and in New Delhi on Tuesday about Boeing’s aircraft, including models like the 777 and 787 — planes being considered by Air India for purchase.